EB Daily Market Report - Wednesday, November 20, 2024
Executive Market Summary
- Futures were relatively flat overnight and most areas of the market were close to the unchanged level at the opening bell as well
- Bitcoin ($BTCUSD, +1.30%) continues to assault its 52-week high, seemingly every day now
- Ethereum ($ETHUSD, -1.87%) recently surged through resistance at 2800, marking a short-term high of 3400+, before pullig back near 3000; ETHUSD seems like the better reward-to-risk trade at the moment
- Gold ($GOLD, +0.89%), after falling rapidly, has bounced the past couple days and nearing its first key resistance test - its declining 20-day EMA at 2659
- Other commodities are mixed as crude oil ($WTIC, -0.63%) falls just below $69 per barrel
- The 10-year treasury yield ($TNX) is up 4 basis points to 4.42%, trapped in a short-term range from 4.33% to 4.50%
- This is one of the flattest days in a long time, in terms of S&P 500 performers; no stocks have gained more than 3% and only 1 stocks has lost more than 3% - Align Technology (ALGN, -3.18%)
- NVIDIA Corp (NVDA, -1.77%) and Palo Alto Networks (PANW, +0.80%) both will be reporting their latest quarterly results after the closing bell today
Market Outlook
The bulls keep battling here at the 20-day EMAs on our key indices. Check them out:
Dow Jones (DIA):
S&P 500 (SPY):
NASDAQ 100 (QQQ):
Russell 2000 (IWM):
We've seen slight moves below the rising 20-day EMAs, but I look at these charts as 20-day EMA support holding - at least for now.
Sector/Industry Focus
It's not just the major indices that are attempting to hold 20-day EMA support. Industrials (XLI), one of the sectors that typically loves Q4, has rested for nearly two weeks and is also trying to reverse off its own 20-day EMA test:
ChartLists/Strategies
I made an error in yesterday's DMR, when I said that NVIDIA Corp (NVDA, -2.18%) was reporting after the closing bell yesterday. NVDA reports TODAY after the closing bell. I apologize for any inconvenience. Here's the latest look at NVDA relative to its semiconductor ($DJUSSC) peers:
NVDA is a clearly a leader in its space. It's also the largest semiconductor company in the world based on market capitalization. MANY semiconductors will take their cue from NVDA's results today. It is NEVER good to see a leader report worse-than-expected results. Semiconductors have performed poorly on a relative basis since their June 2024 top and reversal. I believe their short-term hopes of a revival rely significantly on NVDA this afternoon.
Earnings Reports
Here are the key earnings reports for the next two days. I include all companies with market caps of $10 billion or more and also include notable companies with market caps below $10 billion. Finally, any portfolio stocks that will be reporting results are highlighted in BOLD. If you decide to hold a stock into earnings, please understand the significant short-term risk that you are taking. Please be sure to check for earnings dates for any companies that you own or are considering owning.
Wednesday, November 20 - after market close (AMC):
NVDA, PANW, SNOW, MMS, CPA
Thursday, November 21 - before market open (BMO):
PDD, DE, BIDU, BEKE, WMG, BJ, ROAD, ATKR, IQ
Economic Reports
None
Happy trading!
Tom